Pretoria: Minister of Trade, Industry and Competition, Parks Tau, has moved to assure the public that the recently published Draft National Credit Regulations are not targeted at prejudicing any particular group. This follows concerns that the draft regulations may negatively affect individuals with student debt.

According to South African Government News Agency, Minister Parks Tau has stated that the regulations are not intended to disadvantage those indebted to higher learning institutions. Instead, they focus on improving access to finance for Micro, Small and Medium Enterprises (MSMEs). The draft regulations, part of the National Credit Act, were published on 13 August 2025 for a 30-day public comment period.

The Department of Trade, Industry and Competition (dtic) emphasized the government’s commitment to facilitating MSMEs’ access to the finance ecosystem to address persistent challenges in the sector. The department highlighted the difficulties MSMEs face due to inadequate credit and risk histories, which limit their access to formal credit and often lead them to seek assistance from informal lenders with high-interest rates.

The department stated that the regulatory reforms are part of broader efforts to improve MSME financing, critical for South Africa’s economic growth. These reforms aim to provide transformed, inclusive, and affordable financial services, particularly for women, underserved communities, and vulnerable groups. The proposed amendments seek to establish opportunities for MSMEs to generate credit and risk histories, thereby supporting MSMEs and township economies.

Public comments on the draft regulations are expected to close on 12 September 2025. The department assured that the Minister is committed to a fair public participation process, considering all inputs made during this period. The Minister is keen to ensure that the regulations do not unintentionally impact individuals negatively and will engage stakeholders to clarify the process and address any concerns.